Kroger (NYSE:KR) Given Buy Rating at The Goldman Sachs Group

Kroger (NYSE:KR)‘s stock had its “buy” rating reaffirmed by The Goldman Sachs Group in a research report issued to clients and investors on Tuesday,Benzinga reports. They currently have a $70.00 price target on the stock. The Goldman Sachs Group’s price objective indicates a potential upside of 10.54% from the stock’s previous close.

A number of other equities research analysts have also recently commented on the stock. Morgan Stanley lifted their price target on shares of Kroger from $62.00 to $65.00 and gave the stock an “equal weight” rating in a report on Tuesday, January 21st. UBS Group raised their price target on Kroger from $63.00 to $66.00 and gave the stock a “neutral” rating in a research report on Thursday, December 12th. Jefferies Financial Group upgraded Kroger from a “hold” rating to a “buy” rating and increased their price objective for the stock from $54.00 to $73.00 in a report on Tuesday, December 3rd. Citigroup reiterated a “neutral” rating and set a $61.00 target price on shares of Kroger in a report on Friday, January 24th. Finally, JPMorgan Chase & Co. boosted their price target on Kroger from $69.00 to $71.00 and gave the stock an “overweight” rating in a research report on Monday, January 6th. Seven equities research analysts have rated the stock with a hold rating, ten have given a buy rating and one has assigned a strong buy rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $66.06.

Kroger Trading Up 2.7 %

Shares of NYSE KR opened at $63.32 on Tuesday. Kroger has a 52-week low of $44.48 and a 52-week high of $64.10. The firm has a 50 day moving average price of $60.43 and a two-hundred day moving average price of $57.13. The stock has a market cap of $45.82 billion, a P/E ratio of 16.75, a price-to-earnings-growth ratio of 2.90 and a beta of 0.47. The company has a debt-to-equity ratio of 1.74, a quick ratio of 1.07 and a current ratio of 1.54.

Kroger (NYSE:KR) last issued its earnings results on Thursday, December 5th. The company reported $0.98 EPS for the quarter, beating analysts’ consensus estimates of $0.97 by $0.01. Kroger had a return on equity of 27.73% and a net margin of 1.85%. The business had revenue of $33.63 billion during the quarter, compared to analyst estimates of $34.19 billion. During the same period in the previous year, the company posted $0.95 EPS. The firm’s revenue was down 1.0% compared to the same quarter last year. As a group, equities analysts forecast that Kroger will post 4.44 EPS for the current year.

Kroger declared that its board has initiated a stock repurchase plan on Wednesday, December 11th that authorizes the company to repurchase $7.50 billion in shares. This repurchase authorization authorizes the company to reacquire up to 16.9% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company’s board of directors believes its stock is undervalued.

Insiders Place Their Bets

In related news, CFO Todd A. Foley sold 16,932 shares of Kroger stock in a transaction on Thursday, December 19th. The stock was sold at an average price of $61.44, for a total transaction of $1,040,302.08. Following the completion of the transaction, the chief financial officer now directly owns 53,782 shares of the company’s stock, valued at approximately $3,304,366.08. The trade was a 23.94 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Also, SVP Yael Cosset sold 20,000 shares of the stock in a transaction that occurred on Tuesday, December 10th. The shares were sold at an average price of $58.39, for a total transaction of $1,167,800.00. Following the completion of the sale, the senior vice president now owns 144,620 shares in the company, valued at $8,444,361.80. This represents a 12.15 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 195,448 shares of company stock valued at $12,143,923 over the last quarter. Company insiders own 1.40% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. Centricity Wealth Management LLC acquired a new position in shares of Kroger in the 4th quarter worth approximately $32,000. Northwest Investment Counselors LLC acquired a new position in shares of Kroger during the third quarter worth approximately $34,000. Adirondack Trust Co. boosted its holdings in shares of Kroger by 1,628.1% in the fourth quarter. Adirondack Trust Co. now owns 553 shares of the company’s stock valued at $34,000 after acquiring an additional 521 shares in the last quarter. Crews Bank & Trust acquired a new position in shares of Kroger during the 4th quarter valued at $39,000. Finally, McClarren Financial Advisors Inc. acquired a new stake in Kroger in the 4th quarter valued at about $39,000. 80.93% of the stock is owned by hedge funds and other institutional investors.

Kroger Company Profile

The Kroger Co operates as a food and drug retailer in the United States. The company operates combination food and drug stores, multi-department stores, marketplace stores, and price impact warehouses. Its combination food and drug stores offer natural food and organic sections, pharmacies, general merchandise, pet centers, fresh seafood, and organic produce; and multi-department stores provide apparel, home fashion and furnishings, outdoor living, electronics, automotive products, and toys.